Markets likely to begin on a positive note!

The cues from global peers are setting up a firm pitch to bat on for the bulls. On Friday, with Franklin Templeton fiasco, which resulted to sell-off in the markets, it would be interesting to see whether the market participants recover from this wound or they will use today’s gap-up opening to liquidate their positions. Further, today, Prime Minister Narendra Modi is expected to conduct a video conference with all the Chief Ministers for discussing a plan for staggered exit from the lockdown, which would be crucial for the day. On the earnings front, Ambuja Cement is scheduled to announce its earnings today. SGX Nifty is trading higher by 81 points at 9,222 level.

The bulls are jumping with joy at the beginning of the week as Asian equities are trading in green on Monday. Japan’s Nikkei has surged the most, as it has climbed 2.16 per cent as the market participants are looking ahead to Bank of Japan’s monetary policy. Hong Kong’s Hang Seng has gained 1.64 per cent and China’s Shanghai Composite rose 0.64 per cent.

Back home, the key benchmark indices ended in a negative terrain on Friday led by the weak global cues as a potential antiviral drug to treat COVID-19 reportedly, failed its first trial. Further, the fiscal stimulus package which was expected had been delayed for the time being. Nifty dropped 1.71 per cent and BSE Sensex lost 1.68 per cent. In the broader market, Nifty Mid-cap and Nifty Small-cap plunged 2.07 and 1.95 per cent, respectively. Talking about the sectoral performance barring Nifty Pharma, all other indices ended in red with Nifty Realty and Nifty Financial Service being the worst performers.

On Friday, US markets ended the session in green. However, it snapped a two week winning streak. For the day, Dow closed up by 1.1 per cent, S&P 500 rose 1.4 per cent and Nasdaq jumped 1.7 per cent. While, European equities too ended lower on Friday.